How to Make a Maturity Claim on Your Life Insurance: Insurance must be an important component of your overall financial plan. It offers protection against your sudden demise and ensures the financial stability of your family in your absence.
It is important to understand different types of insurance policies to make the right decision. While most individuals compare and understand different policies, an often overlooked factor is to understand the claim procedure. It is crucial that you comprehend the procedure to ensure you receive the benefits as per the policy terms and conditions.
Claims in a life insurance policy may be classified as death, maturity, and rider claims. The focus of this article is to understand the maturity claim procedure. However, before that, there are two things that you must keep in mind.
Firstly, you will need to dematerialize your policy, which requires opening an e-insurance account. This makes the entire procedure quick, hassle-free, and convenient. Secondly, you must provide your bank details to the insurance company at the time of filling the application form.
Maturity claim
This claim arises when the policy term is over and it reaches maturity. The amount paid by the insurer at this time is known as the maturity claim. It includes the sum assured along with the bonus or other incentives as per the terms and conditions. The procedure is simple and requires minimal documentation. Here is a brief overview of the claim procedure.
1.Policy discharge form
The insurance company will send you a policy discharge form well in advance of the maturity date. It also includes information about the documents you will have to provide along with the discharge form.
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2.Documentation
The policy discharge form must be duly completed and signed by you and two witnesses. You will need to provide the following documents along with the discharge form.
- Original policy document
- Bank mandate form and account details
- Identity proof
- Residential address proof
- Cancelled cheque
You must send the duly filled discharge form along with the documents a few days before the maturity date. This ensures the life insurance claim procedure is completed without any delays.
Verification
The insurance company verifies the discharge form and the documents. On successful verification, the insurer processes the maturity claim and executes the payment. You will receive the benefit amount directly into your bank account within a short period after the maturity date.
Here are five factors you must keep in mind before you make a maturity claim.
- Check the status of the policy and ensure it is still in force
- All the premiums must have been paid up to date
- The maturity claim procedure is applicable only to insurance policies that have benefits, such as survival benefits, bonuses, and incentives
- In case you pass away after the policy date but prior to the discharge date, the same is considered as maturity claim and the benefits will be paid to your nominees
- If you have assigned the policy in favor of another person or entity, the maturity claim amount will be paid to the assignee
When you make a maturity claim, it is important to ensure accuracy and follow the procedure as required by your insurance company. It will ensure you receive the amount at the earliest while reducing the possibility of having your claim rejected.
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